Lost his last election, in 2008, with 29% of the vote.
Telecommunications Act November 4th, 1997
Mr. Speaker, I rise on a point of order. I understand that Bill C-17, an act to amend the Telecommunications Act and the Teleglobe Canada Reorganization and Divestiture Act, is what we are debating this afternoon. I would ask for your guidance that we debate on that subject.
The Royal Canadian Mounted Police Superannuation Act November 3rd, 1997
Madam Speaker, let me begin by saying that EI premium rates must come down and they will. They will be coming down over time. There is no question about that.
We have already made considerable progress in reducing EI premium revenues. Let me remind members that EI premium rates have declined every year since 1994, down from $3.07 in 1994 to $2.90 this year. Weekly maximum insurable earnings, MIEs, were rolled back to $750 and frozen rather than increased.
There is the new hires program. Many times people forget about the new hires program. Up to 900,000 eligible employers will pay virtually no premiums for new jobs created this year. This program has been set up to enhance employing more people.
Together these measures represent a cumulative reduction in EI revenues of some $4 billion from 1995 to 1997; $500 million in 1995, $1.8 billion in 1996 and $1.7 billion in 1997.
The EI premium rate for 1998 will be set later this fall by the Minister of Human Resources Development.
EI premium revenues are part of the consolidated revenues of the government. Please understand that they have been that way since 1986 at the insistence of the Auditor General of Canada. It is certainly true that they are important to achieving our fiscal objectives. A substantial reduction in EI premium revenues now would require either significant increases in other taxes, further large reductions in government programs, or an increase in the deficit.
As much as we would want to get EI premium rates down, we cannot do so prematurely. This is an important issue and must be considered together with other key priorities of the government.
National Shipbuilding Policy October 29th, 1997
Mr. Speaker, this is a motion respecting the shipbuilding industry in Canada. The shipbuilding industry has a long and rich tradition in the country. It continues to play a key role in many coastal and port communities, from major yards in Saint John, New Brunswick, to Levis, Quebec, to smaller ones dotted across the country in Ontario, Quebec, New Brunswick, Nova Scotia, P.E.I., Newfoundland and British Columbia.
As has been stated earlier, overall the major shipyards employ about 4,000 workers. They are highly skilled, well paying jobs. The smaller yards and facilities employ many other workers. All these people can take great pride in the work they do and the contribution they make.
The shipbuilding industry is a small but important component of Canada's overall marine industry, making a significant contribution to Canada's economic growth.
Shipbuilding is one of only a few industry to benefit from comprehensive government initiatives. Essentially there are three elements to the policy.
First, we made a commitment to use Canadian shipbuilders for the renewal, repair and overhaul of government fleets. We will continue our policy of domestic procurement on all federal ships and repairs where it is possible to do so.
Second, we have a 25% tariff on all non-NAFTA foreign built ships over 100 tonnes entering Canadian waters, with the exception of fishing vessels over 100 feet.
Third, between 1986 and 1993 we spent $198 million on an industry led rationalization process. The industry decided that it was necessary to reduce its capacity so that the remaining shipyards could survive and stay competitive. Therefore the structure of the Canadian shipbuilding industry has changed dramatically since 1986 due to this rationalization. Certainly in the last five years there has been no real change in the domestic international market situation to support reversing the approach of the current government.
In addition, the Government of Canada has several other key initiatives to support this sector. There are tax measures available to ship owners in the form of accelerated capital cost allowance on new ships built in Canada. Shipbuilders are also encouraged to keep pace with new technology through the research and development tax credit system. Through government institutions there is financing available to this sector like any other sector for commercially viable projects. For example, the Export Development Corporation can provide financing for export sales of Canadian products including ships.
We recognize that the international playing field is not level. First, major distortions in the marketplace result from massive subsidies from foreign governments to their shipping industries. To defend our domestic industry we will continue our efforts to eliminate foreign subsidies through the OECD. At the same time the European community is looking at eliminating its country's subsidies by the year 2000. Things are slowly changing.
Second, let me address the U.S. situation and the Jones Act. Under the legislation only vessels built in the United States and operating under the U.S. flag can engage in U.S. domestic trade. This prohibits building or rebuilding any vessels for the U.S. coasting trade in non-U.S. shipyards.
I remind the member for Fundy—Royal that he was not a member of the House at the time the previous government led by his party negotiated the free trade agreement and did not work out any details to change this awful protectionist system under the Jones Act.
However there are opportunities for Canadian yards to capture some of the U.S. ship repair markets which will become more accessible as the standard U.S. 50% tariff on repairs continues to decrease over time and will be eliminated in 1998 under NAFTA.
It is still important to continue our efforts to encourage the U.S. government to update an archaic 77 year old Jones Act in line with NAFTA and WTO principles.
While the majority of U.S. legislators are supporters, a growing number of legislators as well as other organizations such as citizen tax groups are attacking the act on the grounds that it is effectively a subsidy paid by the consumer.
In 1996 the International Trade Commission estimated the Jones Act raises the price of water borne transportation by 26%. The extra costs get passed along to consumers in higher prices. This constitutes a hidden Jones Act tax of between $3.8 billion and $10 billion a year. There is a result of subsidies.
A U.S. senator has recently introduced the legislation to allow foreign flagships to operate between two U.S. ports, if the operator or charter of the ship is a U.S. citizen or is eligible to engage in business in the U.S., and if the operator operates regularly scheduled freight service in the ocean trades including the Great Lakes. This is a very slight improvement but still not good enough.
However all parties in the U.S. are acknowledging this is a long term issue with no immediate solution. That is what they say every year.
There is little doubt the Canadian shipbuilding industry has faced some hard times in recent years. However recent developments might help to stimulate new business in Canada for shipbuilding and marine construction. They include the need to revitalize the aging Great Lakes shipping fleet and the development of high speed ferry services in offshore oil and gas developments such as Hibernia, Terra Nova and Sable Island.
Certainly new opportunities are out there. There is evidence that the international shipbuilding industry has come out its global recession. The deep sea shipping fleet is aging and needs replacement. Double hauling will soon be mandatory for ships entering U.S. ports, requiring modifications to newer ships and possibly the replacement of older ones. Each of these developments may provide some opportunities to Canadian shipyards in the future.
We must be prepared to compete in the global marketplace. To become globally competitive Canadian shipyards must aggressively continue to adopt modern technology. Acquiring the latest technology in shipbuilding will help reduce production costs, increase productivity and reduce labour. A lot of work has been done but a lot more has to be done.
Around the world Canadian shipyards have earned a sterling reputation in specialized markets such as coastal ferry systems, icebreakers and self-unloading bulk carriers. Canada enjoys a significant technological advantage and market edge because of its experience in the construction of these specialized vessels. Many new opportunities are looming on the horizon for shipbuilding and the refit and repair industries in Canada. There is much work to be done.
Although I cannot support the motion as submitted by the member for Fundy—Royal, I congratulate him on his preparedness and his desire to continue to work on behalf of the Canadian shipbuilding industry. I hope we can continue to do so in the months and years ahead.
Canada Co-Operatives Act October 22nd, 1997
Mr. Speaker, I congratulate the member for Brandon—Souris for his comments and especially for staying focused.
In various areas of the country there are small and large co-operatives. There has been some concern that there may be some problems there and also some work to be done in committee. Has the member had any feedback or any comments?
The small co-operatives can stay exactly where they are, but it does not limit the other co-operatives from doing some of the things the member just mentioned.
Canada Co-Operatives Act October 22nd, 1997
Mr. Speaker, I want to take the opportunity to congratulate the member for St. John's West on his maiden speech. As he said, he has had much practice before, but I would like to welcome him to this House.
I also want to welcome him to the industry committee. Although his title might be industry critic, I know that there are many items that we can work on in co-operation. I would also like to thank him for sticking to the topic of Bill C-5 and co-operatives, like the Bloc and the NDP but unlike the official opposition who went off topic.
It is important when we are talking about a bill like Bill C-5 that we do stick to the topic and put our best foot forward at all times.
As parliamentary secretary I would like to ask the member whether he has had a chance to discuss with the co-operatives in his area and surrounding areas the improvements that have been suggested in Bill C-5 and how will it benefit his area?
Canada Co-Operatives Act October 22nd, 1997
Mr. Speaker, I rise on a point of order. A number of discussions this afternoon have gone totally away from the subject at hand, Bill C-5 and co-operatives.
I ask for your direction, Mr. Speaker. I think it would be good in debate if we stuck to the topic of Bill C-5 and co-operatives rather than go all the way around the world to all those other things that have absolutely no relevancy to co-operatives and associations that worked so hard with the government to get the legislation to where it is today. I ask for your assistance.
Canada Co-Operatives Act October 22nd, 1997
Mr. Speaker, I will be splitting my time with the member from Essex.
I rise today on the occasion of second reading to the proposed legislation regarding the Canada co-operatives act. This bill marks another step in this government's effort to provide modern up to date framework laws that establish fair and efficient marketplace rules.
In the past we have passed legislation to modernize and streamline laws from bankruptcy, insolvency to copyright. These framework laws are an important part of Industry Canada's contribution to the government's jobs and growth agenda.
The bill before us deals with non-financial co-operatives. Financial co-ops or credit unions were reformed in the last parliament with the passage of the Co-operative Credit Associations Act.
The value of Canada's co-operatives can be found when we look at the kinds of principles they instil in their members and their communities, principles such as democratic control and concern for their members, principles such as community development and education for the young. For the better part of this century co-operatives have prospered in Canada as an alternative form to business enterprise.
In communities across Canada co-operatives have proven that it is possible to flourish in a market economy with principles that emphasize community participation, democratic equality and co-operation.
That being said, it is true that even though co-ops are a unique and distinctive form of business organization they nevertheless compete in a market economy against business corporations. For example, retail co-operatives compete against the Canadian Tires, the Loblaws, the Wal-Marts, the Price Clubs and so on.
Survival in this marketplace depends on innovation and flexibility. It depends on getting the best advice from board members who are knowledgeable of the business world. In this environment co-operatives have been competing for years with their hands tied behind their backs because the marketplace framework laws governing these organizations restrict their freedom to make some choices needed to respond to changing demands, to changing competition and to changing markets.
These co-operative associations work closely with their members. They discuss their draft model act within the co-operative movement. When they have a draft bill ready they approach the Minister of Agriculture and Agri-Food, responsible for co-operatives, and the Minister of Industry, responsible for marketplace framework laws.
This is a good way of preparing legislation, working co-operatively with organizations and the government in partnership to make things happen. I hope we see more of these examples in the future.
Industry Canada had to assure itself that the draft legislation met the requirements of the contemporary marketplace framework laws. The bill before us governs co-operatives that are incorporated federally. Most non-financial co-operatives are incorporated in the province in which they do business. This means the bill before us today affects only a small portion of non-financial co-operatives in Canada. But the relatively small number of businesses affected directly by this bill should not detract from the importance of this bill.
The bill creates a Canada co-operatives act that provides co-operatives with the same flexibility now enjoyed by federally incorporated businesses. However, it still maintains the key co-operative principles essential in any co-operative legislation. It leaves the choice to adopt the new business oriented measures in the hands of the membership, the members.
To help co-operatives compete more effectively in the marketplace, the bill provides more flexibility to recruit directors from outside the membership. At least two-thirds of directors of the co-operative have to be members or representatives of those members of co-operatives, corporations or entities. One-third of the board can be from outside. If the co-op issues investment shares, members will decide on that. In each case it is the members who decide.
In other words, this bill enables the co-operatives to draw on the expertise of those who can help guide the co-operative whether or not they are members of the co-operative themselves. At the same time, however, the members themselves continue to make the fundamental decisions that set the rules for the co-op. These include the articles of incorporation, the bylaws, the right to make proposals at any annual meeting and the ability to request special meetings of the members.
In short, this bill gives co-operatives the best of both worlds. It continues to promote the distinctive features of co-operatives that have made them such an important force in Canada's economy. At the same it provides a modern, flexible, business type set of tools to allow co-ops to compete against other forms of business on a level playing field. I hope hon. members will join me in supporting this bill.
Income Tax Conventions Implementation Act, 1997 October 20th, 1997
Yes.
Income Tax Conventions Implementation Act, 1997 October 20th, 1997
Mr. Speaker, I move:
That the question now be put.
Strategis October 20th, 1997
Mr. Speaker, this past summer Strategis went platinum. Over one million Canadians have opened the door to the government's online business information source.
In fact, Strategis has become one of the top 4% of the busiest Internet sites in the world. Industry Canada is working to bring even more Canadian businesses in touch with Canada's largest business site through the student connection program.
Under the student connection program college and university students show business people how to use the Internet and make the most of new technologies like Strategis.
This being Canada's national science and technology week, it is fitting to promote the proactive work the government is doing to help businesses. Together we are working to ensure Canadian businesses are on the leading edge of information and technology and are ready for business in the 21st century.